Posted: 11/9/2009 10:23:37 AM EDT
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Is it or could it just be a preemptive move against inflation they know is coming? |
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Quoted: Alot of it is due to the up coming changes in Credit Card rules. I could see a little padding if that were the case but Ive talked to people that have FICO scores in the 700s getting bumped into 20% APR plus prime. Doesnt make sense unless theyre trying to either destroy that portion of the credit market of try to cover a metric shit ton of losses. |
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Quoted:
Quoted:
Alot of it is due to the up coming changes in Credit Card rules. I could see a little padding if that were the case but Ive talked to people that have FICO scores in the 700s getting bumped into 20% APR plus prime. Doesnt make sense unless theyre trying to either destroy that portion of the credit market of try to cover a metric shit ton of losses. I'll take "Metric shit ton of losses for 100 Billion,Alex" 
Pretty good article from September on creit card losses...Via CR BTW,most graphs still have losses going the wrong way... Chris |
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Quoted:
Alot of it is due to the up coming changes in Credit Card rules. I got notices from both of my credit card companies that my interest rates were going up to 19.9% APR. I never carry a balance so it doesnt effect me. I suspect what happened is the Obama admin changed some of the rules for CC companies so the companies retaliated by raising everyones rates. |
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http://www.cbsnews.com/stories/2009/05/22/politics/main5033322.shtml
Banks are raising rate ahead of the credit card bill recently signed into law taking effect. |
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They actually WANT people to pay off balances. They need the cash to cover losses. You will not piss them off by paying off and closing the account. It is what they want to help shore up balance sheets and access cash. If you want to stick it to the man, max out your card and pay 20%. Of course, in the end, they will get the last laugh.
The credit card changes may have something to do with it as well, but they were doing this before that law was passed so I think my original thought is the motivator. That is what I would do if a ton of people owed me money and I needed it back pronto. My wife and I have great credit and all our cards boosted 5-10%. Some have come back down. Pretty irrelevant since we pay them off each month. I just want the perks and cash back.  I like to maintain several so I have good current credit and access to funds in case of a personal SHTF or a firesale on .223.
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